April 2026 Changes Employers Need to Prepare For
Background
One notable shift saw the Government move away from its original proposal to remove the qualifying service requirement for unfair dismissal entirely. Instead, from 1 January 2027, the qualifying period will reduce to six months.
In July 2025, the Government published Implementing the Employment Rights Bill: Our Roadmap for Delivering Change, outlining a phased implementation plan stretching through to 2027.
Key Changes Taking Effect in April 2026
From April 2026, several significant reforms will come into force, including:
- Major changes to Statutory Sick Pay (SSP)
- Establishment of the Fair Work Agency
- Increase in maximum protective awards for collective consultation failures
- Removal of qualifying service for paternity and parental leave
- Expansion of protected disclosures to include sexual harassment
- Reforms to trade union recognition and balloting processes
Each of these changes carries practical and financial implications for employers.
Statutory Sick Pay (SSP): Expanded Eligibility and First-Day Rights
The most immediate operational impact for many employers will be the reform of Statutory Sick Pay.
What is changing?
From 6 April 2026:
- The Lower Earnings Limit (LEL) requirement will be removed.
- The three “waiting days” before SSP becomes payable will be abolished.
- SSP will be payable from day one of sickness absence.
- Workers will receive 80% of their average weekly earnings or the statutory flat rate — whichever is lower.
Financial implications
For lower earners, this may result in different payment outcomes. For example, those earning between £129 and £154.05 per week may receive 80% of earnings if that figure is lower than the statutory flat rate.
Transition arrangements
Government guidance confirms:
- Workers serving waiting days on 6 April 2026 will become eligible from that date.
- Workers earning below the LEL who are already off sick on 6 April 2026 will also become eligible from that date.
- Workers already receiving SSP before 6 April 2026 (earning between £125 and £154.05 per week) will be protected from a reduction in pay and will continue to receive the flat rate until their absence ends, entitlement is exhausted, or employment ends.
Calculation rules
- 80% entitlement will be based on an eight-week average earnings reference period.
- Payments will be rounded up to the nearest penny.
- Linked absences will use the initial reference period for calculation purposes.
Employer considerations
With SSP payable from day one and no earnings threshold, absence management will become even more critical. Employers should:
- Review absence policies
- Train managers in robust absence management
- Monitor workload and wellbeing to reduce burnout
- Ensure return-to-work processes are effective and timely
Fair Work Agency: Centralised Enforcement Powers
From April 2026, a new Fair Work Agency (FWA) will consolidate enforcement powers currently spread across bodies such as HMRC and the Gangmasters and Labour Abuse Authority.
The FWA will:
- Enforce statutory payments directly
- Recover underpayments without requiring employees to pursue tribunal claims
- Bring tribunal claims on behalf of individuals
- Provide representation or legal support in existing claims
- Recover enforcement costs from employers where claims succeed
This represents a significant shift towards proactive enforcement and may increase employer exposure to regulatory action.
Collective Consultation: Increased Financial Risk
In collective redundancy and “fire and re-hire” situations involving 20 or more employees, the maximum protective award for failure to consult properly will increase from 90 days’ pay to 180 days’ pay per affected employee.
This doubling of potential liability substantially increases financial risk where collective consultation obligations are not handled correctly.
Paternity and Parental Leave: Day-One Rights
Currently:
- Paternity leave requires 26 weeks’ service.
- Parental leave requires one year’s service.
From April 2026, these qualifying periods will be removed.
Paternity and parental leave will become day-one rights, aligning with maternity leave. Notice requirements remain unchanged.
Employers will need to update policies and onboarding documentation to reflect these changes.
Sexual Harassment Disclosures: Whistleblowing Protection
Disclosures relating to sexual harassment — including concerns that harassment has occurred, is occurring, or is likely to occur — will qualify as protected disclosures under whistleblowing legislation.
Employees will be protected from detriment or dismissal where:
- They reasonably believe the information is true, and
- The disclosure is made in the public interest.
Dismissal for making such a disclosure will be automatically unfair.
This increases the importance of having clear reporting channels, thorough investigations, and well-trained managers.
Trade Union Recognition and Balloting Reform
From April 2026:
- Employers will be prohibited from undertaking unfair practices once the Central Arbitration Committee accepts a union recognition application.
- The proposed bargaining unit cannot be expanded after that point, even if new staff are recruited.
- Balloting procedures will be modernised, including the introduction of e-balloting.
- Email will become the preferred method for communicating ballot outcomes.
Employers should ensure HR teams understand the new restrictions to avoid inadvertent breaches during recognition campaigns.
What This Means for Employers
The April 2026 changes represent one of the most significant shifts in UK employment law in recent years.
Organisations should now:
- Conduct a policy audit
- Assess financial exposure (particularly SSP and collective consultation risks)
- Review absence and family leave procedures
- Train managers on new day-one rights and whistleblowing protections
- Prepare for a more interventionist enforcement landscape
Early preparation will reduce risk and ensure compliance well before implementation dates.